Kingdon Capital Management L.L.C. Buys New Position in HCI Group, Inc. $HCI

Key Points

• Kingdon Capital Management has acquired a new stake in HCI Group, purchasing 26,001 shares valued at approximately $3.88 million, which brings its ownership to about 0.24% of the company.
• HCI Group's recent earnings report showed earnings per share (EPS) of $5.18, which exceeded analysts' expectations and highlighted a net margin of 18.58% and a return on equity of 25.84%.
• The company declared a quarterly dividend of $0.40 per share, indicating an annualized dividend yield of 1.0%, with the payout scheduled for September 19th.

Kingdon Capital Management L.L.C. bought a new stake in HCI Group, Inc. (NYSE:HCI - Free Report) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 26,001 shares of the insurance provider's stock, valued at approximately $3,880,000. Kingdon Capital Management L.L.C. owned approximately 0.24% of HCI Group at the end of the most recent quarter.

A number of other large investors have also modified their holdings of HCI. American Century Companies Inc. raised its stake in HCI Group by 168.8% during the first quarter. American Century Companies Inc. now owns 452,781 shares of the insurance provider's stock worth $67,569,000 after acquiring an additional 284,315 shares in the last quarter. Wellington Management Group LLP raised its stake in HCI Group by 13.3% during the first quarter. Wellington Management Group LLP now owns 175,376 shares of the insurance provider's stock worth $26,171,000 after acquiring an additional 20,537 shares in the last quarter. Balyasny Asset Management L.P. raised its stake in HCI Group by 2,878.2% during the fourth quarter. Balyasny Asset Management L.P. now owns 114,689 shares of the insurance provider's stock worth $13,365,000 after acquiring an additional 110,838 shares in the last quarter. Northern Trust Corp raised its stake in HCI Group by 3.3% during the first quarter. Northern Trust Corp now owns 91,127 shares of the insurance provider's stock worth $13,599,000 after acquiring an additional 2,897 shares in the last quarter. Finally, GAMMA Investing LLC raised its stake in HCI Group by 17,305.3% during the first quarter. GAMMA Investing LLC now owns 88,941 shares of the insurance provider's stock worth $132,730,000 after acquiring an additional 88,430 shares in the last quarter. 86.99% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several research firms have issued reports on HCI. Compass Point upgraded HCI Group from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $148.00 to $205.00 in a research note on Friday, May 30th. Wall Street Zen lowered HCI Group from a "strong-buy" rating to a "buy" rating in a research note on Friday, August 22nd. Finally, JMP Securities increased their price objective on HCI Group from $210.00 to $225.00 and gave the stock a "market outperform" rating in a research note on Monday, May 19th. Four equities research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, HCI Group currently has a consensus rating of "Buy" and an average target price of $181.25.

HCI Group Stock Up 0.9%

Shares of NYSE HCI traded up $1.48 during mid-day trading on Wednesday, reaching $171.04. 129,936 shares of the company's stock were exchanged, compared to its average volume of 134,371. The firm has a market capitalization of $2.22 billion, a price-to-earnings ratio of 15.16 and a beta of 1.18. The company has a current ratio of 0.71, a quick ratio of 0.71 and a debt-to-equity ratio of 0.02. The business has a fifty day simple moving average of $148.87 and a 200 day simple moving average of $147.44. HCI Group, Inc. has a twelve month low of $91.06 and a twelve month high of $176.40.

HCI Group (NYSE:HCI - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The insurance provider reported $5.18 EPS for the quarter, topping analysts' consensus estimates of $4.47 by $0.71. The company had revenue of $221.92 million for the quarter, compared to analyst estimates of $218.98 million. HCI Group had a return on equity of 25.84% and a net margin of 18.58%. As a group, equities analysts expect that HCI Group, Inc. will post 6.78 EPS for the current fiscal year.

HCI Group Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 19th. Stockholders of record on Friday, August 15th will be given a dividend of $0.40 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 0.9%. HCI Group's dividend payout ratio (DPR) is currently 14.18%.

HCI Group Company Profile

HCI Group, Inc, together with its subsidiaries, engages in the property and casualty insurance, insurance management, reinsurance, real estate, and information technology businesses in Florida. It provides residential insurance products, such as homeowners, fire, flood, and wind-only insurance to homeowners, condominium owners, and tenants for properties, as well as offers reinsurance programs.